Core Concept - KFC has launched a new product called the "Dunk It Bucket," which is the brand's first new bucket in nearly a decade, featuring hand-breaded Original Recipe Tenders, Secret Recipe Fries, and new Mashed Potato Poppers, available nationwide starting March 17, 2025 [1][4]. Product Details - The Dunk It Bucket includes hand-breaded Original Recipe Tenders, Secret Recipe Fries, and crispy Mashed Potato Poppers, with a starting price of $7 [2][4]. - Mashed Potato Poppers are described as crunchy on the outside and creamy on the inside, available either as part of the Dunk It Bucket or à la carte [3][4]. - The Double Dunk It Bucket is available for $25, which includes 10 tenders, 2 individual fries, 10 mashed potato poppers, 6 sauces, and 4 biscuits [7]. Sauce Options - The Dunk It Bucket offers a variety of sauce options, including Warm Gravy, Comeback Sauce, Honey BBQ, Honey Mustard, Sticky Chicky Sweet and Sour Sauce, Classic Ranch, and Buffalo Ranch [8]. Marketing and Promotions - The new menu items coincide with the college basketball tournament, promoting a "sauce bracket" theme for fans [5]. - KFC is also offering limited-edition "KFC Dunk It" merchandise, including a mini basketball hoop and apparel, to enhance the promotional campaign [5]. Ordering and Rewards - Customers can order the Dunk It Bucket in-store, on KFC.com, or through the KFC app, with KFC Rewards members earning double points on these orders [6][9].

Core Concept - Pizza Hut has introduced a new customizable product called Pizza Charcuterie, aimed at enhancing social gatherings and celebrating Pi Day [1][2][3] Product Offering - The Pizza Charcuterie is priced at $24.99 and includes 2 medium pizzas, 8 boneless wings, choice of sticks, and 2 dips, with a maximum of 10 toppings [2][4] - The product is designed to be visually appealing and encourages customers to create their own unique pizza boards [1][3] Marketing Strategy - Pizza Hut collaborated with former NFL player Robert Gronkowski to promote the Pizza Charcuterie, leveraging his popularity and personality to attract attention [2][3] - The Chief Marketing Officer emphasized the shift from traditional charcuterie boards to a pizza-centric experience, highlighting the fun and social aspect of the new offering [3] Company Background - Pizza Hut, a subsidiary of Yum! Brands, has a long history of innovation in the pizza industry, with over 19,500 restaurants in more than 100 countries [5] - The company has a strong digital presence, with over half of its transactions coming from digital orders, reflecting its commitment to modernizing the customer experience [5]

Group 1 - The common shares of Komo Plant Based Foods Inc. will be delisted from the CSE at market close on March 5, 2025 [1][2] - Komo Plant Based Foods is currently suspended [1][2] Group 2 - The symbol for Komo Plant Based Foods on the CSE is YUM.X [3]

Company Overview - YUM operates over 61,000 restaurants across more than 155 countries, with system sales totaling $65.466 billion for the year ended December 31, 2024[16]. - The company has approximately 1,500 franchisees, with 35% of over 60,000 franchised units operating under master franchise agreements, particularly in mainland China[27]. - The company has around 60,000 franchise restaurants globally, employing over 1 million people[50]. - The company relies on franchisees for 98% of its restaurant operations, making franchisee performance critical for growth[61]. - The company has limited control over franchisee operations, which could impact royalty and fee revenues if franchisees struggle[62]. - The company terminated franchise agreements with a Turkish operator for failing to meet brand standards on January 8, 2025[67]. - The company’s growth strategy is dependent on the successful opening and profitable operation of new restaurants by franchisees[69]. Brand Performance - KFC, Taco Bell, and Pizza Hut are global leaders in their respective categories, with KFC having 31,981 units and system sales of $34.452 billion, representing 53% of total system sales[17]. - The KFC Division operates in 150 countries with 31,981 units, 99% of which are franchised, contributing significantly to YUM's overall performance[17]. - Taco Bell has 8,757 units across 33 countries, with system sales of $17.193 billion, representing 26% of total system sales[17]. - Pizza Hut operates 20,225 units in 111 countries, achieving system sales of $13.108 billion, also primarily through franchising[17]. - Habit Burger & Grill, with 383 units in 3 countries, generated system sales of $713 million, indicating growth potential in the fast-casual segment[17]. Financial Performance - Total revenues for 2024 reached $7.549 billion, a 7% increase from $7.076 billion in 2023[211]. - Diluted EPS for 2024 was $5.22, a decrease of 7% compared to $5.59 in 2023, while EPS excluding special items increased by 6% to $5.48[209]. - Operating profit for 2024 was $2.403 billion, reflecting a 4% increase from $2.318 billion in 2023[211]. - Franchise revenues for 2024 were $3.295 billion, a slight increase of 1% from $3.247 billion in 2023[211]. - Company sales for 2024 reached $2,552 million, up from $2,142 million in 2023, representing a growth of 19.2%[213]. - Franchise sales increased to $62,914 million in 2024, compared to $61,647 million in 2023, marking a growth of 2.1%[213]. - Total system sales for 2024 were $65,466 million, a rise from $63,789 million in 2023, reflecting an increase of 2.6%[213]. Operational Challenges - The company faces risks related to food safety and public health conditions, which could adversely affect operations and growth prospects[57][58]. - The company is subject to various federal, state, and local regulations affecting its business operations[46][47]. - Labor shortages and increased labor costs are ongoing challenges, affecting the company's ability to attract and retain qualified employees[120]. - The company has experienced an increase in food prices and other operating costs, which are expected to continue affecting operational results due to price volatility in raw materials[123]. - The company has taken actions to manage inflationary increases, including raising food prices and negotiating favorable terms with suppliers, but has not always been able to pass on the full cost increases to customers[124]. Technology and Digital Initiatives - Digital sales reached $33 billion in 2024, accounting for over 50% of overall system sales, highlighting the importance of technology in operations[35]. - The implementation of the Byte by Yum! platform aims to enhance operational efficiency and customer experience through AI-driven solutions[34]. - The company is investing significantly in digital and technology initiatives, including AI, to enhance customer experience and operational efficiency[103]. - The company plans to leverage digital and technology to improve customer experiences and drive growth through its Recipe for Good Growth strategy[192]. Risks and Compliance - The company faces risks related to global operations, including political instability, regulatory uncertainties, and economic conditions in various countries[81]. - The company is subject to cybersecurity risks, including ransomware attacks, which could disrupt operations and result in significant costs[87]. - A ransomware attack in January 2023 temporarily closed fewer than 300 restaurants and resulted in data being taken from the company's network[90]. - The company must comply with evolving data privacy laws, including the EU's GDPR, which impose strict requirements and potential penalties for noncompliance[96]. - The company faces risks related to the integration of acquired companies and the realization of expected synergies, which could adversely affect its growth strategy[77]. Market and Economic Factors - The company faces risks related to consumer discretionary spending, influenced by macroeconomic conditions such as inflation and elevated interest rates[147]. - Any significant deterioration in U.S.–China relations could adversely affect the company's financial results due to potential impacts on Yum China's business[76]. - Fluctuations in currency exchange rates, particularly the value of the U.S. dollar against the Chinese Renminbi, could materially impact the company's reported earnings and royalty payments[84]. - The company has significant exposure to the Chinese market through its largest franchisee, Yum China, which subjects it to various risks including political, financial, and social instability[75]. Legal and Regulatory Matters - The company is regularly involved in legal proceedings that could increase expenses and divert management attention, impacting financial results[135]. - Changes in laws and regulations, including those related to labor and employment, could adversely affect the company's operations and growth prospects[136]. - Tax matters, including changes in tax rates or laws, could impact the company's financial results and growth prospects[139]. - The company is subject to a potential 15% global minimum tax under the OECD's Pillar Two initiative, which may increase tax compliance and reporting costs[141]. Employee and Human Capital - As of December 31, 2024, the company employed approximately 40,000 persons, with 23,000 in the U.S. and 17,000 internationally[49]. - Approximately 85% of the company's employees work in restaurants, with 85% of U.S. restaurant employees being part-time[49]. - The company emphasizes human capital management as a key driver of brand performance and franchise success[52]. - The company faces challenges in recruiting and retaining qualified employees, which may lead to reduced operating hours and negatively impact customer experience[122].

Core Points - KFC is relocating its U.S. headquarters from Louisville, Kentucky, to Plano, Texas, as part of Yum Brands' strategy to establish two corporate headquarters [1][2] - Approximately 100 KFC U.S. employees will need to relocate within the next six months, along with about 90 remote workers [1][2] - Yum Brands will maintain corporate offices in Louisville and plans to build a new flagship restaurant in the city [2] - The trend of relocating corporate headquarters has been influenced by factors such as lower taxes and changes in office space needs due to hybrid or remote work models [3] - Texas has emerged as a popular choice for corporate relocations, according to a 2023 report from CBRE [3] - Competitor Papa Johns previously moved its headquarters from Louisville to Atlanta in 2020, highlighting a trend among companies in the region [4]

Core Insights - Yum! Brands is expected to have a strong fiscal year 2024, with Taco Bell being a standout performer, likely to receive significant recognition for its success [1] Company Analysis - Taco Bell is anticipated to drive substantial growth for Yum! Brands in FY 2024, indicating a positive outlook for the brand within the fast-food sector [1] - The company has a diversified portfolio that includes various restaurant segments, which may contribute to its overall resilience and performance in the market [1] Industry Context - The restaurant industry, particularly the quick-service restaurant (QSR) segment, is experiencing favorable trends that could benefit companies like Yum! Brands [1]

Group 1 - Yum! Brands, Inc. (NYSE: YUM) shares are showing potential for a breakout, indicating a favorable trading opportunity in the near term and a solid long-term investment option due to dividend collection [1] - The investment strategy suggested involves a blended approach of trading and income, aimed at enhancing savings and retirement timelines [1] Group 2 - The service offers a money-back guarantee for unsatisfied customers, emphasizing confidence in the investment ideas provided [2] - The team behind the service has a proven track record, suggesting reliability in their investment recommendations [2]

Core Insights - YUM! Brands, Inc. reported strong fourth-quarter 2024 results, with adjusted earnings and total revenues exceeding the Zacks Consensus Estimate, showing year-over-year growth [1][4] Financial Performance - Adjusted earnings per share (EPS) for Q4 were $1.61, surpassing the Zacks Consensus Estimate of $1.58 by 1.9%, and increased 28% from $1.26 in the prior year [4] - Quarterly revenues reached $2.36 billion, beating the consensus mark of $2.32 billion by 1.8%, and rose 16% year-over-year [4] - Worldwide system sales, excluding foreign currency translation, grew 8% year-over-year, with Taco Bell increasing 14%, KFC rising 6%, and Pizza Hut up 3% [5] Divisional Performance - **KFC**: Revenues totaled $965 million, up 27% year-over-year, with flat comps growth compared to a 2% gain in the prior year. Operating margin contracted 430 basis points to 39% [6][7] - **Pizza Hut**: Revenues were $293 million, up 4% year-over-year, with a 1% decline in comps. Operating margin contracted 260 basis points to 32.4% [7][8] - **Taco Bell**: Revenues reached $930 million, up 14% year-over-year, with comps increasing 5%. Operating margin expanded 160 basis points to 36.5% [8][9] - **Habit Burger Grill**: Revenues amounted to $192 million, compared to $175 million in the prior year, with flat comps growth. [9] Digital Initiatives - The company reported a 15% increase in digital sales, with the digital mix surpassing 50%, moving towards a long-term goal of 100% digital sales. The launch of Byte by Yum!, a proprietary SaaS platform, aims to enhance restaurant operations through integrated technology solutions [2] Other Financial Details - As of December 31, 2024, cash and cash equivalents totaled $616 million, up from $512 million at the end of 2023. Long-term debt increased to $11.3 billion from $11.14 billion [10] - A 6% dividend hike was declared to 71 cents per share, payable on March 7, 2025 [10] Annual Highlights - Total revenues for 2024 were $7.5 billion, compared to $7.1 billion in 2023. Net income totaled $1.49 billion, down from $1.6 billion in 2023. Adjusted EPS for 2024 was $5.48, up from $5.17 in the previous year [11]

Financial Data and Key Metrics Changes - The company achieved a core operating profit growth of 8% for the full year, reflecting resilience amid macroeconomic challenges [38][49] - System-wide sales grew by 5% in Q4, driven by 5% net new unit growth and 1% same-store sales growth [41] - Digital sales increased approximately 15% to over $30 billion, highlighting the effectiveness of the digital-first approach [31][32] Business Line Data and Key Metrics Changes - Taco Bell US reported a full year system sales increase of 6%, with same-store sales rising 5% in Q4, significantly outperforming the U.S. industry [18][19] - KFC International experienced a 3% system sales growth for the full year, with same-store sales flat year-over-year but improving to plus 1% in Q4 [15][16] - Pizza Hut's full year system sales declined by 1%, but same-store sales growth improved by 300 basis points sequentially in Q4 [22][41] Market Data and Key Metrics Changes - In the Middle East, KFC saw a strong recovery in transactions, with same-store sales increasing significantly in Q4 [42][76] - Latin America achieved a 6% year-over-year same-store sales increase in Q4, driven by value promotions [17] - Africa reported a 9% increase in same-store sales, attributed to effective marketing strategies [16] Company Strategy and Development Direction - The company is focused on enhancing digital convenience and engagement through its proprietary technology platform, Byte by Yum [11][30] - Strategic initiatives include expanding product offerings and refining pricing strategies to deepen market penetration [17][18] - The company aims to modernize consumer experiences and drive innovation through new concepts like Saucy by KFC and Live Más Cafe at Taco Bell [27][28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of international markets and the overall health of franchisees, particularly in KFC [75][80] - The company anticipates another strong year of core operating profit growth, targeting at least 8% in 2025 [70][86] - Management acknowledged near-term headwinds but remains optimistic about brand momentum and sales recovery in affected markets [67][70] Other Important Information - The company plans to increase its quarterly dividend to $0.71 per share and has returned $1.2 billion to shareholders through dividends and share buybacks [64][65] - The company is committed to sustainability initiatives, including improving packaging recyclability and participating in reusable cup pilots [36][37] Q&A Session Summary Question: Health of international franchisees and growth trajectory - Management noted improvements in international markets, with KFC's system sales growth in unimpacted markets at 9% for the full year and 10% in Q4 [76][78] Question: 2025 core operating profit growth algorithm - Management indicated confidence in achieving the 8% core operating profit growth target, driven by strong performances from KFC International and Taco Bell US [86] Question: G&A outlook long-term - Management expects G&A as a percentage of system sales to decrease over time, with a low single-digit percentage increase anticipated for 2025 [90][91] Question: KFC US business improvements under new leadership - Management expressed excitement about the new KFC leadership and plans to modernize the consumer experience and enhance digital capabilities [97][98] Question: Technology strategy and Byte by Yum - Management highlighted the advantages of an integrated technology platform, which simplifies operations and enhances franchisee capabilities [102][106] Question: Attracting and retaining technology talent - Management emphasized the company's strong culture and growth opportunities as key factors in attracting top technology talent [126]

Yum Brands (YUM) reported $2.36 billion in revenue for the quarter ended December 2024, representing a year-over-year increase of 16%. EPS of $1.61 for the same period compares to $1.26 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $2.32 billion, representing a surprise of +1.80%. The company delivered an EPS surprise of +1.90%, with the consensus EPS estimate being $1.58.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Stree ...